Case Note & Summary
The appeal arose from a judgment of a learned Single Judge of the Bombay High Court in Writ Petition No.2382 of 1996. The learned Single Judge, relying on the Supreme Court judgment in Air India Statutory Corporation v. United Labour Union, AIR 1997 SC 645, directed the absorption of workmen mentioned in Exhibit 'A' to the petition as regular employees with effect from their respective dates of entering into service. The workmen concerned were sweepers working in the canteen of the appellant, Hindustan Petroleum Corporation Limited, at its Mazgaon Terminal in Mumbai. The appellants, Hindustan Petroleum Corporation Limited and its Chief Installation Manager, challenged this order by way of Appeal No.402 of 1997. The Division Bench, comprising R.M. Lodha and P.V. Kakade JJ., heard the appeal. The appellants argued that the case was covered by the subsequent Constitution Bench judgment in Steel Authority of India Ltd. v. National Union Water Front Workers and others, which they contended overruled Air India. However, the Division Bench noted that the learned Single Judge had already applied Air India, and the appeal was squarely covered by that judgment. The court observed that the Constitution Bench in Steel Authority of India had not overruled Air India on the point of absorption of contract labour in statutory canteens. Accordingly, the Division Bench found no merit in the appeal and dismissed it. The court did not interfere with the order of the learned Single Judge directing absorption of the workmen. The judgment was delivered on 2nd December 2005.
Headnote
A) Contract Labour - Absorption - Statutory Canteen - Contract Labour (Regulation and Abolition) Act, 1970 - Workmen employed as sweepers in the canteen of Hindustan Petroleum Corporation sought absorption as regular employees - The learned Single Judge directed absorption relying on Air India Statutory Corporation v. United Labour Union - The Division Bench held that the appeal was covered by the said Supreme Court judgment and dismissed the appeal - Held that the workmen are entitled to absorption (Paras 2-4).
Issue of Consideration
Whether the workmen working as sweepers in the canteen of Hindustan Petroleum Corporation at Mazgaon Terminal are entitled to absorption as regular employees based on the judgment in Air India Statutory Corporation v. United Labour Union.
Final Decision
Appeal dismissed. The order of the learned Single Judge directing absorption of the workmen as regular employees is upheld.
Law Points
- Contract labour engaged in statutory canteen must be absorbed as regular employees
- Air India Statutory Corporation v. United Labour Union applied
- Steel Authority of India Ltd. v. National Union Water Front Workers distinguished
